Owings

Maryland enacted statewide ADU preemption with the Accessory Dwelling Units Act of 2025 — HB 1466 / SB 891 (cross-filed) — passed by the General Assembly in the 2025 Regular Session and effective 2025-10-01. Counties and municipalities with planning and zoning authority must adopt local laws compliant with the Act by 2026-10-01. The Act establishes that it is the policy of Maryland to promote and encourage ADU creation on land with a primary single-family detached dwelling. ADUs are defined as secondary units on the same lot/parcel/tract as a primary single-family detached dwelling, no greater than 75% of the size of the primary dwelling. Counties and municipalities cannot prohibit ADUs or impose unreasonable restrictions on their construction or rental. The 2025 ADU Act ALSO amends the Maryland HOA Act (Title 11B of the Real Property Article), prohibiting community associations from prohibiting or unreasonably restricting ADU construction and rental. The state has been preparing this framework since 2023 (SB 382 created the ADU Policy Task Force, which issued its final report 2024-05-31).

Maryland enacted HOA preemption for ADUs as part of the 2025 ADU Act. HB 1466 / SB 891 amended the Maryland Homeowners Association Act (Real Property Article, Title 11B), adding the ADU definition at §11B-101(a-1) and prohibiting HOAs from prohibiting or unreasonably restricting the construction or rental of ADUs on lots with primary single-family detached dwelling units. HOAs retain authority to (a) treat an ADU as a separate lot for voting and assessment purposes (optional, not required) and (b) impose reasonable design and architectural standards consistent with the community's overall character. The HOA preemption became effective 2025-10-01.

Maryland does not currently operate an ADU-specific statewide loan, grant, or forgivable-loan program tied to the 2025 ADU Act. The Maryland Department of Housing and Community Development (DHCD) administers a broad portfolio of homeownership, rental development, and home-repair financing — including the Maryland Mortgage Program, Settlement Downpayment Loan Program, Project Restore (commercial-to-residential conversions), and various Energy & Home Repair loan products. None target ADU construction directly, though Project Restore can fund ADU-like conversions, and the Energy & Home Repair Loan can fund ADU-related electrical, HVAC, and weatherization upgrades.

• Maryland Mortgage Program
• Project Restore
• DHCD Home Repair Programs

Maryland's primary state-level ADU program is the 2025 ADU Act framework: statewide preemption requiring local jurisdictions to adopt compliant ordinances by 2026-10-01, including HOA preemption. The Maryland Department of Planning maintains an ADU resource hub with technical assistance for local governments. Maryland does not currently operate a statewide pre-approved ADU plan catalog, an ADU rebate, or an impact-fee waiver statute, but the local-compliance window through 2026-10-01 is expected to produce additional ADU-specific incentive programs.

• ADU Act 2025 Statewide Floor (HB 1466 / SB 891) — Counties and municipalities with planning/zoning authority must adopt compliant ordinances by 2026-10-01, allowing ADUs on every single-family-detached lot at up to 75% of primary dwelling size. Bars prohibitions and unreasonable restrictions. Includes HOA preemption.
• Maryland Department of Planning ADU Resource Hub — Resource hub with model ordinances, FAQs for local governments (HB 1466 FAQ), task-force final report, and statewide ADU ordinance inventory.